UNDERSTANDING FINANCIALIZATION: STANDING ON THE SHOULDERS OF MINSKY

Charles J. Whalen
pages: 45-61;
JEL classification: B26;
Keywords: Hyman Minsky, money manager capitalism, financialization;
Abstract: Since Hyman Minsky’s death in 1996, much has been written about financialization. This article —
by means of the synthesis, interpretation, and assessment of an extensive literature — explores
the issues that Minsky examined in the last decade of his life and considers their relationship to
the financialization literature. At the heart of those issues is what Minsky called money manager
capitalism, which he viewed through the lens of a theory of capitalist development inherited from
Joseph Schumpeter. Advancing our understanding of the history of financial economics, the article
shows how Minsky contributed to — indeed, anticipated much of — the study of financialization.
The article also identifies two sources of Minsky’s insightfulness: his treatment of economics as
a grand adventure, and his willingness to step beyond the world of theory and interact with the
world of practice. Today, scholars with a Minsky perspective face formidable challenges, but, the
author concludes, within Minsky’s writings is also a glimmer of hope: Economic systems are not
natural systems; we can reshape them to achieve a more humane world.

Based on a decision by the Ministry of Science and Higher Education, publications in „e-Finanse” now receive 14 points in the academic rating system.

The Financial Internet Quarterly has received funding from the Ministry of Science and Higher Education for the implementation of a two-year development project. The project assumes the internationalization of the journal. Funding will provide for the modernization of the website together with the simultaneous implementation of an electronic system to facilitate the recruitment and management of scientific publications.
In addition, the project activities will include recruitment of new Associate Editors and foreign reviewers, english proofreading edition and cooperation with new entities through which it will be possible to extend the range of the journal to reach a new audience of potential authors.
„E-Finanse” received this funding under the contract 725 / P-DUN / 2016 by the Ministry of Science and Higher Education allocated to the activities of disseminating science.

NEWSLETTER

I agree to the use of my personal data in accordance with the Act of August 29, 1997 on the protection of personal data (primary text from Dz.U 2016, position 922 with later changes) by the University of Information Technology and Management in Rzeszow (ul. Sucharskiego 2, 35-225 Rzeszów) in order to receive the newsletter with marketing information. This agreement covers the use of personal data in the future, to the extent to which the purpose of its usage does not chang. I swear that I was informed of my right to access the content of my personal data and to correct it, as well as the right at any time to rescind agreement to its use.

I agree to electronic delivery of trade information by the University of Information Technology and Management in Rzeszow (ul. Sucharskiego 2, 35-225 Rzeszów) in accordance with the Act of July 18, 2002 on the use of electronic communications (primary text Dz. U. 2016, pos. 1030 with later changes).